In this March 22, 2014 picture, a crew member walks on a CSX freight train engine in Brunswick, Md. CSX Corp. reports quarterly earnings after the market close on Tuesday, April 15, 2014. (AP Photo/Patrick Semansky)

On Tuesday, the railroad based in Jacksonville, Fla., reported net income of $398 million, or 40 cents per share, in the quarter ending March 31. That's down from $462 million, or 45 cents per share, a year ago.

CSX said weather in early 2014 cost it 8 to 9 cents per share in increased expenses and lost revenue. Michael Ward, the railroad's president, CEO and chairman, praised the way employees responded.

"Thanks to the hard work of our employees, service levels are gradually recovering, and we are capitalizing on an economy that continues to show positive momentum," Ward said.

Over the past several years, relatively weak coal demand has hurt railroad profits because low natural gas prices have prompted many utilities to switch from coal to gas. The tepid economy recovery has also hurt industrial demand for coal.